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Fourth Avenue development site going for $20 million

Fourth Avenue development site going for $20 million

A developer is paying $20 million for this Fourth Avenue/11th Street Park Slope site – which includes the two seemingly abandoned buildings at right, the empty lot and several houses at left. Photo by Lore Croghan

Eye On Real Estate: Bidding Wars on Park Slope Corridor

By Lore Croghan

Brooklyn Daily Eagle

How big is demand for development sites on Park Slope's Fourth Avenue?

So big that the same investors who bought the McDonald's at 275 Fourth Ave. last year, Adam America Real Estate, are paying $20 million for another site a few blocks away, at 470 Fourth Ave.

So big there was a bidding war for 470 Fourth Ave. – and for other Fourth Avenue sites whose sales brokerage firm TerraCRG has handled.

“Values of residential development sites in Park Slope have doubled in just two short years, and property owners are taking advantage of this market,” said TerraCRG founder and president Ofer Cohen.

Fourth Avenue – a chaotic and intriguing mash-up of new apartment buildings and hotels, abandoned industrial sites and cultural facilities like the Brooklyn Lyceum – is the only place in Park Slope where large-scale development is possible.

Adam America plans to construct a rental-apartment building at 470 Fourth Ave., Cohen said. It's also planning rental apartments at the McDonald's site, for which it paid $14.8 million.

The sale of the property on the corner of 11th Street is expected to close in February, he added.

An LLC whose manager is Ben Igoe of JBS Project Management in DUMBO assembled the site by buying rowhouses on seven tax lots from multiple sellers, city Finance Department records indicate. The purchases added up to $12.35 million.

Igoe did not answer requests for comment by deadline.

The folks who assembled the site were going to develop it themselves – then decided to sell it when they saw the improvement in the market over the past year, Cohen said.

TerraCRG also brokered the recent $4.4 million sale of the property next door to the McDonald's, the Alba Auto Repair building at 269-271 Fourth Ave. The seller was repair shop owner Dimitrios Batistatos, who moved his business to Nevins Street.

The buyer was an LLC headed by Juneng Zhao, city records indicate. The purchaser is thinking of building rental apartments rather than condos but hasn't made a final decision, Cohen said.

January 30, 2014 - 9:13am

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